**2.6 Mortgage bank**

This type of bank in Nigeria is floated to coordinate housing development in the country. To achieve this mandate, individuals and corporate bodies are granted loans for this purpose, while repayment of loans is in instalments over the years. Like deposit money banks or microfinance banks, mortgage banks receive deposit from individuals and corporate bodies at a rate of interest, while such fund is lent out at a higher rate of interest. In Nigeria, the Federal Mortgage Bank is saddled with this responsibility.
